Electric cars

Tesla expands in Utah; new concession planned for Utah County

A rendering of a new Tesla dealership currently under construction in Pleasant Grove. Once open, it will be the state's second Tesla dealership

A rendering of a new Tesla dealership currently under construction in Pleasant Grove. When open, it will be the second Tesla dealership in the state (St. John Properties)

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PLEASANT GROVE — It looks like the biggest electric vehicle company is expanding into Utah for the first time since it opened seven years ago.

Construction of a new 34,000 square foot Tesla dealership is underway in Pleasant Grove, according to representatives from St. John Properties, a Maryland-based company with properties in Utah, which sold the land to Drake. Denver-based Motor Partners LLC. The project should be completed by the end of the year.

Utah County property records list Drake Motor Partners as owners of land at 2265 W. 700 South in Pleasant Grove. The Pleasant Grove planning commission proposed a site plan in January, according to city records.

St. John Properties representatives said the dealership will be part of the rapidly growing valley grove business park, which is a mix of office and commercial space. The one-story dealership will be adjacent to the flex and R&D buildings as part of the complex, visible from I-15. It will include a service and maintenance area, customer lounge, design studio and offices, while the exterior will have inventory parking and charging stations, St. John Properties added.

“Tesla is extremely selective when choosing new dealership sites, so we consider ourselves fortunate to be able to offer the highway visibility, quality consumer demographics and overall business environment that are critical to the business,” Daniel Thomas, the company’s regional partner in Utah, said in a statement Monday.

“Tesla is a distinctive brand that emphasizes high performance, originality and authenticity, aspects that align closely with the mission of St. John Properties,” he added. “We believe Tesla’s presence in Valley Grove will be a natural fit and complement existing businesses and retailers.”

Utah’s first Tesla dealership has opened in South Salt Lake in 2015 but he soon endured trouble because of a law prohibiting Tesla Motors from owning dealerships. After the state Supreme Court upheld this rule in 2017the state legislature passed a bill in 2018 which opened the door for people to buy Tesla cars in Utah.

The South Salt Lake location has remained the state’s only dealer since then, according to the company’s location listing.

The future site is expected to expand options as more Utah drivers slowly switch to electric options. His rise is why the state announced its first-ever Electric Vehicle Service Equipment Steering Committee in Januarywhich aims to work on topics and strategies related to a new statewide electric vehicle charging network plan.

Utah also passed legislation to fit a future with electric vehicles on the roads. Governor Spencer Cox also signed a bill last week, which charges a road user fee of 1 cent per mile with a cap of $130.25 beginning in 2023, around the same time as the new dealership opens.

The fee helps cover some of the lost gas tax that gasoline motorists pay at the pump for transportation projects, Rep. Ray Ward, R-Bountiful, explained in February. It is expected to rise to 1.25 cents per mile with a cap of $180 in 2026 as more drivers switch to electric vehicles. It will then increase to 1.5 cents in 2032, according to the bill that has been enacted.

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